Contract Conditions

Did you realise that there are clauses about a ‘Security Account’ in a Standard Building Contract? No mortgage? If you aren’t planning on a mortgage because You are downsizing, or Got a house loss insurance payout, or Getting a bank loan….Read more

I hear a lot of people suggesting they get a lawyer to review their house building contract. I”m not that sure that is a great idea, and its going to cost a fair bit of money. Issues using a lawyer…Read more

Can’t find a quality rating for your builder? Perhaps you should check your contract before you sign it. Apparently some builders require customers to sign a contract that: ‘Prohibits them from publishing anything about the builder without the builders express…Read more

Did you know that there is legislation in Australia that protects you from unfair contracts? Fair Contracts The two most common house building contracts are: The HIA Standard Contract. The Master Builders Association Standard Contract. Both these contracts are considered…Read more

If there has been delays in a house building contract the question of compensation comes up (see this link: Liquidated Damages ) A key factor in assessing damages is knowing when the construction contract started; as it isn’t written in the signed contract. In order to avoid…Read more

Every Year I hear complaints of “Everything has stopped on my House Build for a month” What can make it worse is when the builder ‘Tries’ to claim an ‘Extension of Time’ for the Build. What Does The Contract Say?…Read more

Control of costs is really important if you don’t want to run over budget on your new home. One of the key areas in controlling costs is understanding the specification of the house. One of the traps that many people…Read more

I’m always a bit suspicious of guarantees and warranties! In my opinion most Guarantees are really just a piece of paper that explains how the Guarantor will fulfill their legal liabilities. (In some cases they explain a process which is less than fulfilling…Read more

What Is A Cost Plus Contract Basically it is a contract where you agree to pay all the builders ‘Direct Costs’ plus a ‘Fee for Administration and Profit’. Rather than a quotation the builder provides an estimate with the actual cost…Read more

What Are Escalation Clauses These are a way of allowing for inflation. Basically it provides a way for the builder to increase his costs in line with inflation. The Clause will quote an inflation index which can be used to…Read more